C. PARIS 20678 OF OCTOBER 30, 1972
1. DURING APRIL 11 CONVERSATION WITH CHIEF OF EC AFFAIRS,
DREE, MINISTRY OF ECONOMICS AND FINANCE, WE ASKED ABOUT RECENT
PRESS REPORTS THAT FRENCH AGMIN CHIRAC HAD PROPOSED DURING EC
COUNCIL DEBATE ON CAP PRICES THAT SOY BEANS BE INCLUDED UNDER
EXISTING CAP FOR OIL SEEDS. ( WE DID NOT REFER TO REPORT RECEIVED
BY USEC THAT CHIRAC MADE FORMAL PROPOSAL ALONG THESE LINES.)
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PAGE 02 PARIS 10172 111839 Z
2. DREE OFFICIAL REPLIED THAT SUCH A MINISTRY OF AGRICULTURAL
PROPOSAL IS AGAIN UNDER STUDY WITHIN GOF, BUT HE STRESSED THAT
GOF HAS NOT MADE ANY FORMAL APPROACH ON THIS QUESTION TO EC.
DREE OFFICIALS SAID THAT MINISTRY OF AGRICULTURE CONTINUES TO
ARGUE THAT FRANCE MUST LESSEN ITS DEPENDENCE ON IMPORTS AS A
SOURCE OF VEGETABLE PROTEIN AND MAINTAINS THAT ESTABLISHMENT
OF DEFICIENCY PAYMENTS SYSTEM WOULD PERMIT AT LEAST LIMITED
FRENCH SOY BEAN PRODUCTION. DREE OFFICIAL SAID HE COULD NOT
PREDICT HOW GOF WOULD DECIDE ON THIS QUESTION AT INTERMINIS-
TERIAL LEVEL. HE SAID THAT HIS AGENCY CONTINUES TO OPPOSE MIN-
ISTRY OF AGRICULTURE PROPOSAL. HE SAID THAT DREE EXPERTS
FEAR THAT ANY SUCH DEFICIENCY PAYMENTS PROGRAM WOULD BECOME
EXTREMELY EXPENSIVE. MOREOVER, DREE AND MINISTRY OF FOREIGN
AFFAIRS RECOGNIZE THAT ANY EC MOVE WHICH APPEARED TO
THREATEN U. S. SOY BEAN EXPORTS WOULD PROVOKE STRONG U. S.
REACTION.
COMMENT: DREE OFFICIAL' S ASSURANCE THAT GOF HAS NOT YET REACHED
INTERMINISTERIAL DECISION ON QUESTION OF SOY BEAN CAP APPEARS
SOMEWHAT INCONSISTENT WITH CHIRAC' S REPORTED REQUEST IN LUXEM-
BOURG, ALTHOUGH FRENCH PRESS VERSION OF CHIAC' S REMARKS INDICATE
THAT THEY WERE MORE IN NATURE OF SUGGESTION THAN FORMAL PROPOSAL.
IN ANY CASE, ASSUMING DREE REPORT IS ACCURATE, IT APPEARS THAT
CHIRAC WAS EXPRESSING VIEW OF HIS MINISTRY RATHER THAN MAKING
OFFICIAL GOF PROPOSAL.
IRWIN
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*** Current Handling Restrictions *** n/a
*** Current Classification *** LIMITED OFFICIAL USE

Raw content

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PAGE 01 PARIS 10172 111839 Z
73
ACTION EUR-25
INFO OCT-01 IO-12 ADP-00 AGR-20 AID-20 CEA-02 CIAE-00
COME-00 EB-11 FRB-02 INR-10 NSAE-00 RSC-01 CIEP-02
STR-08 TRSE-00 LAB-06 SIL-01 OMB-01 PA-03 PRS-01
USIA-12 RSR-01 /139 W
--------------------- 042100
R 111738 Z APR 73
FM AMEMBASSY PARIS
TO SECSTATE WASHDC 9146
INFO AMEMBASSY COPENHAGEN
USMISSION GENEVA
AMEMBASSY LUXEMBOURG
AMEMBASSY DUBLIN
AMEMBASSY LONDON
AMEMBASSY ROME
AMEMBASSY BONN
AMEMBASSY BRUSSELS
AMEMBASSY THE HAGUE
USMISSION EC BRUSSELS UNN
LIMITED OFFICIAL USE PARIS 10172
E. O. 11652: DECONTROL FOLLOWING APRIL 30, 1974
TAGS: EAGR, EEC, FR
SUBJECT: CAP FOR SOYBEANS
REF: A. EC BRUSSELS 1974; B. PARIS 23061 OF DECEMBER 1, 1972;
C. PARIS 20678 OF OCTOBER 30, 1972
1. DURING APRIL 11 CONVERSATION WITH CHIEF OF EC AFFAIRS,
DREE, MINISTRY OF ECONOMICS AND FINANCE, WE ASKED ABOUT RECENT
PRESS REPORTS THAT FRENCH AGMIN CHIRAC HAD PROPOSED DURING EC
COUNCIL DEBATE ON CAP PRICES THAT SOY BEANS BE INCLUDED UNDER
EXISTING CAP FOR OIL SEEDS. ( WE DID NOT REFER TO REPORT RECEIVED
BY USEC THAT CHIRAC MADE FORMAL PROPOSAL ALONG THESE LINES.)
LIMITED OFFICIAL USE
LIMITED OFFICIAL USE
PAGE 02 PARIS 10172 111839 Z
2. DREE OFFICIAL REPLIED THAT SUCH A MINISTRY OF AGRICULTURAL
PROPOSAL IS AGAIN UNDER STUDY WITHIN GOF, BUT HE STRESSED THAT
GOF HAS NOT MADE ANY FORMAL APPROACH ON THIS QUESTION TO EC.
DREE OFFICIALS SAID THAT MINISTRY OF AGRICULTURE CONTINUES TO
ARGUE THAT FRANCE MUST LESSEN ITS DEPENDENCE ON IMPORTS AS A
SOURCE OF VEGETABLE PROTEIN AND MAINTAINS THAT ESTABLISHMENT
OF DEFICIENCY PAYMENTS SYSTEM WOULD PERMIT AT LEAST LIMITED
FRENCH SOY BEAN PRODUCTION. DREE OFFICIAL SAID HE COULD NOT
PREDICT HOW GOF WOULD DECIDE ON THIS QUESTION AT INTERMINIS-
TERIAL LEVEL. HE SAID THAT HIS AGENCY CONTINUES TO OPPOSE MIN-
ISTRY OF AGRICULTURE PROPOSAL. HE SAID THAT DREE EXPERTS
FEAR THAT ANY SUCH DEFICIENCY PAYMENTS PROGRAM WOULD BECOME
EXTREMELY EXPENSIVE. MOREOVER, DREE AND MINISTRY OF FOREIGN
AFFAIRS RECOGNIZE THAT ANY EC MOVE WHICH APPEARED TO
THREATEN U. S. SOY BEAN EXPORTS WOULD PROVOKE STRONG U. S.
REACTION.
COMMENT: DREE OFFICIAL' S ASSURANCE THAT GOF HAS NOT YET REACHED
INTERMINISTERIAL DECISION ON QUESTION OF SOY BEAN CAP APPEARS
SOMEWHAT INCONSISTENT WITH CHIRAC' S REPORTED REQUEST IN LUXEM-
BOURG, ALTHOUGH FRENCH PRESS VERSION OF CHIAC' S REMARKS INDICATE
THAT THEY WERE MORE IN NATURE OF SUGGESTION THAN FORMAL PROPOSAL.
IN ANY CASE, ASSUMING DREE REPORT IS ACCURATE, IT APPEARS THAT
CHIRAC WAS EXPRESSING VIEW OF HIS MINISTRY RATHER THAN MAKING
OFFICIAL GOF PROPOSAL.
IRWIN
LIMITED OFFICIAL USE
*** Current Handling Restrictions *** n/a
*** Current Classification *** LIMITED OFFICIAL USE